Managing Infrastructure Assets for Sustainable

DevelopmentDESA tools and capacity development support for local

governments

December 2020

2030 Agenda for

Sustainable

Development

Infrastructure Asset

Management

Addis Ababa Action

Agenda - 2015

Financing (flows) and well-managed

infrastructure (stocks) are two sides of the

same coin.

para. 34 - strengthening subnational

capacity

What is Infrastructure Asset Management?

Infrastructure assets are all physical assets essential to the delivery of basic public services.

Asset management, then, refers to the coordinated series of activities that monitor and maintain

things of value. Good asset management:

● Balances risk, cost, opportunities and performance

● Focuses on the asset’s entire lifespan

● Applies a portfolio management approach

● Employing the right organizational factors (human and technological)

Why infrastructure asset management?

• Lower long-term public expenditures

• Higher revenue potential

• Greater debt sustainability

• Improved creditworthiness to attract new investment

Infrastructure management is a public investment strategy. By integrating into public investment strategies the financial, human and

material resources needed to manage assets over their entire lifespan, we strengthen the sustainability of public investments to the benefit of

present and future generations.

Joint effort with UNCDF to support municipalities and districts in four pilot

countries in building capacity for improved asset management.

There has been steady uptake of asset management- related activities. Over forty

districts and municipalities in the pilot countries have designed and/or put in

place Asset Management Action Plans.

● For 2021, the Ministry of Finance, Planning and Economic Development in Uganda has

mandated that each local government allocate budget for AMAPs.

Support for asset management on the ground

Bangladesh

Nepal

Tanzania

Uganda

Part Two: In Focus

● Asset management information systems

● Climate-resilient infrastructure

● Emergency response AMAPs

● Enabling environment

Part One: Fundamentals

● Basic tenets of asset management

● Asset management framework

● Needs assessment (Diagnostic Tool)

● Taking action (AMAPs)

The Handbook on Infrastructure Asset Management

Asset Management Diagnostic Tool

Part One

Self-assessment

Part Two

On-site assessment

Part Three

Evaluation and recommendation of interventions

Graph displaying result of Diagnostic Tool along 14

measurements

Asset Management Action Plan

To help lay out a clear and comprehensive roadmap of actions and measures to improve the performance of

priority assets.

Adopting AMAPs is a sign of good, financially responsible governance.

Data

Climate resilience

Health emergenciesHow to build an effective asset register

databaseHow to strengthen public health preparedness

and emergency response

How to address risks posed by climate

hazards

In addition to Diagnostic Tool and AMAPs

€ 1,000

€ 2,000

€ 3,000

€ 4,000

2018 2019 2020 2021 2022

Year

Depreciation Expense

Straight Line

DB

DDB

SYD

Sum of Units (Km)Photo courtesy of UN Photo

Reliable calculations of depreciation support sound financial planning and

decision-making.

Key takeaways by chapter

Basics

• Asset management allows governments to maximize the service and

financial value of physical assets to the benefit of communities.

• There are four phases of an asset life cycle (Plan, Acquire, Use and

Dispose), each of which requires policies and actions that draw on a unique

set of human, material and financial resources.

Action plans

• Governments can use an Asset Management Action Plan (AMAP) to map out

actions and measures to improve the performance of priority assets.

• An AMAP consists of a series of critical steps, including stakeholder analysis,

performance projections, gap assessment and corrective actions to ensure

follow-through and sustainability of improvement efforts.

Dynamics

• Effective asset management must be embedded in an asset

management framework rooted in community needs and national

development priorities.

• Governments can use an asset management framework to design and

implement policies and strategies based on the three pillars of asset

management: demand, life cycle and financial management.

Diagnostics

• Asset management begins with a comprehensive assessment of current

needs and challenges.

• The Asset Management Diagnostic Tool measures governments’ awareness

of asset management techniques and identifies areas for policy intervention.

Key takeaways by chapter (cont.)

Data

• A multifunctional, structural and hierarchical asset registry database is a

prerequisite for an effective asset management information system – and

ultimately, for improved service performance.

Emergency response

• Governments can strengthen preparedness in by putting in place emergency

operations plans and procedures for assets that are critical to an effective

emergency response (e.g. health facilities, water and sanitation systems and medical

equipment).

Climate resilience

• More than half of the world’s population now lives in cities. As a result, climate

change is, to a great degree, an urban issue. Climate change threatens local

services and the assets they rely on, jeopardizing the quality of life of residents.

• Climate risk assessments provide information needed to mainstream climate

resilience into government operations through asset management practices.

Enabling environment

• The enabling environment should consist of sound legislation, policies and

practices, as well as the sustained commitment and support of local and national

decision-makers and stakeholders.

● Translations of Handbook into Spanish, Swahili, Bangla, Nepali and French

● Online Solutions Dialogues○ A series of virtual two-day workshops to introduce key concepts on infrastructure asset management in a highly interactive

and collaborative setting.

○ There will be three thematic rounds in each of three regions: Africa, Asia-Pacific, and Latin America and the Caribbean.

● Massive Open Online Course○ Comprehensive training at own pace on a wide range of asset management tools and techniques in support of sustainable

development

● Informal Advisory Board of experts on infrastructure asset management

Capacity development support to come

Thank You!

Should you have any questions or comments, you’re welcome to contact:

➢ Caroline Lombardo (lombardoc@un.org)

➢ Daniel Platz (platz@un.org)

➢ Claire Chan (claire.chan@un.org)